The R/ECON™ Input-Output Model (I-O) shows how sectors of an economy interact. For a given industry, the model shows the “production recipe” for the goods and services the industry sells and the shares of its revenues that are consumed by other industries in the economy.
The R/ECON™ I-O model’s estimates of interregional trade by sector are based on those conceived by the Regional Science Research Institute and are recognized by the academic community as the most reliable estimates available.
R/ECON™ can customize models for any state, metropolitan area, county, or set of counties for which detailed data on employment and payroll are publicly available or provided by the client.
The R/ECON™ I-O model can be used to:
- estimate the number of jobs and the amount of income that will be created in an economy by an event or shock
- determine an event’s, an industry’s, or a program’s total contribution to an economy
- calculate the fiscal viability of a proposed economic development incentive
- estimate the economic impact of the relocation of a firm
- help identify successful state and local economic development strategies
- determine the relative economic viability of large projects
- show how changes in one sector of the economy influence other sectors
- identify the impact of a project on various government spending programs, and vice versa